Video

Moody's shows UK no love

Feb. 14 - With a less-than-rosy economic outlook, Moody's Valentine's Day warning is a sign the ratings agency will be a thorn in the UK's side for some time.

TRANSCRIPT +

Valentine's Day love for Britain from Moody's the ratings agency has put the UK's top -- credit rating on negative watch. Meaning Britain could lose its price AAA status within twelve months. Shadow finance minister Ed -- has called the move a significant warming and is urging the government to do more to improve economic growth. But chancellor George Osborne has defended Britain's austerity measures. If we didn't do it all debts in Britain. Then there will be no growth. The angels people would invest in our country Britain the house to confront -- problems that is the clear message from the rating agency today. And that is a reality check to the entire political systems of Britain panel stuck dealing with its -- problem. That Osbourne would use Moody's move to support his austerity policies comes is no grace of primaries. But the ball market has barely to deny it boring costs remain near record low lose. And a fourteen year is Britain's debt profile is longer than most sheltering it from short term funding pressure and volatility. So Moody's say he's matchup. Look you often find that when a country's downgrade from -- to double A plus. You mentioned Shimon neutral because you're an environment away. You don't see a shift in investment patents from. Investors and in states. The weak growth and it's. Softening inflation story actually make you relatively -- friendly environment. So when downgrades to the US and Japan have had little impact should Britain be worried this is something that does need to be taken seriously by governments. But of course that it is already that set austerity package in place. In the UK the government won't be one team -- That made that evil west because of course there's a lot so criticism. That any more scary team and you could just see the rest after that signing on May be double dip recession that hopefully the UK's avoiding that scenario right now but has been a big key something. There's no down Britons would -- our warring. Unemployment is -- a seventeen year high and a stagnant economy means despite the austerity borrowing is actually rising not forming. With the economic outlook fall from Rosie Moody's Valentine's warning is likely to be a thorn in the UK site for some time to come. IMAX -- throw -- this is France's.

SPONSOREDSTORIES

Reuters is the news and media division of Thomson Reuters. Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms.

*All quotes delayed a minimum of 15 minutes. See here for a complete list of exchanges and delays.